A man spent 20% of his monthly income on rent and 45% of the remaining on clothes and he saves the remaining income. If his monthly savings are Rs.308, find his monthly salary.

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  1. Rs. 750
  2. Rs. 725
  3. Rs. 775
  4. Rs. 700

Answer (Detailed Solution Below)

Option 4 : Rs. 700
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Detailed Solution

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Given:

Monthly savings = Rs. 308

A man spends 20% of his monthly income on rent.

He spends 45% of the remaining income on clothes.

Formula Used:

Let the monthly income be Rs. x.

Amount spent on rent = 20% of x = 0.20x

Remaining income after rent = x - 0.20x = 0.80x

Amount spent on clothes = 45% of remaining income = 45% of 0.80x = 0.45 × 0.80x = 0.36x

Savings = Remaining income after clothes

Savings = 0.80x - 0.36x = 0.44x

Savings = Rs. 308

Calculation:

⇒ 0.44x = 308

⇒ x = 308 / 0.44

⇒ x = 700

The monthly salary is Rs. 700.

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